Donaldson Company, Inc. (NYSE:DCI) Given Consensus Rating of “Moderate Buy” by Analysts

Donaldson Company, Inc. (NYSE:DCI) has been assigned a consensus recommendation of “Moderate Buy” from the five analysts that are presently covering the company, MarketBeat Ratings reports. Two research analysts have rated the stock with a hold rating and three have assigned a buy rating to the company. The average 1-year target price among brokerages that have covered the stock in the last year is $100.60.

DCI has been the topic of a number of recent analyst reports. Robert W. Baird dropped their price target on shares of Donaldson from $110.00 to $104.00 and set an “outperform” rating on the stock in a report on Friday. Stifel Nicolaus raised their target price on shares of Donaldson from $90.00 to $96.00 and gave the stock a “hold” rating in a report on Friday, December 5th. Jefferies Financial Group lifted their target price on shares of Donaldson to $123.00 and gave the stock a “buy” rating in a research report on Monday, February 2nd. Weiss Ratings reissued a “buy (b)” rating on shares of Donaldson in a report on Friday, January 9th. Finally, UBS Group set a $96.00 price target on Donaldson in a research note on Tuesday.

Insider Activity

In other news, CFO Bradley J. Pogalz sold 566 shares of the stock in a transaction that occurred on Tuesday, December 9th. The shares were sold at an average price of $91.57, for a total value of $51,828.62. Following the transaction, the chief financial officer owned 434 shares in the company, valued at $39,741.38. This represents a 56.60% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Ajita G. Rajendra sold 19,800 shares of the firm’s stock in a transaction that occurred on Friday, December 5th. The stock was sold at an average price of $92.04, for a total transaction of $1,822,392.00. Following the completion of the transaction, the director directly owned 43,993 shares in the company, valued at approximately $4,049,115.72. The trade was a 31.04% decrease in their position. The SEC filing for this sale provides additional information. 2.20% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Donaldson

A number of hedge funds have recently modified their holdings of DCI. William Blair Investment Management LLC raised its holdings in Donaldson by 26,235.7% in the 4th quarter. William Blair Investment Management LLC now owns 1,707,872 shares of the industrial products company’s stock worth $151,420,000 after purchasing an additional 1,701,387 shares during the period. Norges Bank purchased a new stake in Donaldson in the fourth quarter worth about $120,186,000. Victory Capital Management Inc. raised its stake in shares of Donaldson by 6,069.9% in the third quarter. Victory Capital Management Inc. now owns 1,178,884 shares of the industrial products company’s stock worth $96,492,000 after buying an additional 1,159,777 shares during the period. Fuller & Thaler Asset Management Inc. lifted its position in shares of Donaldson by 22.0% during the 4th quarter. Fuller & Thaler Asset Management Inc. now owns 2,109,595 shares of the industrial products company’s stock valued at $187,037,000 after buying an additional 380,419 shares in the last quarter. Finally, Arbejdsmarkedets Tillaegspension bought a new position in shares of Donaldson during the 4th quarter valued at approximately $22,872,000. Institutional investors own 82.81% of the company’s stock.

Donaldson Stock Up 0.7%

Donaldson stock opened at $92.84 on Friday. Donaldson has a 12 month low of $57.45 and a 12 month high of $112.84. The stock has a fifty day simple moving average of $100.00 and a two-hundred day simple moving average of $89.25. The company has a current ratio of 2.15, a quick ratio of 1.39 and a debt-to-equity ratio of 0.44. The firm has a market cap of $10.71 billion, a price-to-earnings ratio of 29.01, a PEG ratio of 2.32 and a beta of 1.00.

Donaldson (NYSE:DCI) last announced its quarterly earnings results on Thursday, February 26th. The industrial products company reported $0.83 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.90 by ($0.07). Donaldson had a net margin of 10.09% and a return on equity of 30.34%. The business had revenue of $896.30 million for the quarter, compared to the consensus estimate of $898.64 million. During the same period in the previous year, the company earned $0.83 earnings per share. The company’s revenue for the quarter was up 3.0% compared to the same quarter last year. Donaldson has set its FY 2026 guidance at 3.930-4.010 EPS. Equities analysts predict that Donaldson will post 3.64 EPS for the current fiscal year.

Donaldson Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, February 27th. Shareholders of record on Thursday, February 12th were paid a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.3%. The ex-dividend date was Thursday, February 12th. Donaldson’s payout ratio is currently 37.38%.

Donaldson News Roundup

Here are the key news stories impacting Donaldson this week:

• Positive Sentiment: Q2 revenue grew ~3% year‑over‑year and management set FY‑2026 sales guidance that implies up to ~5% organic sales growth, giving investors some top‑line visibility. Donaldson’s Q2 Earnings Miss Estimates, Revenues Increase Y/Y
• Neutral Sentiment: Management will present at the Raymond James Institutional Investors Conference on March 4, giving investors an opportunity for direct Q&A and more color on demand and margins. Donaldson Company to Present at the Raymond James 47th Annual Institutional Investors Conference
• Neutral Sentiment: Robert W. Baird trimmed its price target from $110 to $104 but kept an Outperform rating — a slight analytical downgrade but still constructive relative to the market. Price target lowered by Robert W. Baird
• Negative Sentiment: Q2 EPS missed consensus (reported ~$0.78–0.83 vs. ~$0.90 expected) and margins compressed, driven by cost/inflation and weaker aftermarket demand — the primary catalyst for the selloff. Donaldson Company, Inc. Q2 2026 Earnings Call Transcript
• Negative Sentiment: Management trimmed EPS guidance for FY‑2026 (guidance band modestly below consensus), and commentary flagged softer demand after tariff front‑loading — investors reacted to the lowered profit outlook. Donaldson shares sink after revenue miss, lowered profit outlook
• Negative Sentiment: Recent acquisition (Facet Filtration) raised leverage (management flagged higher net debt/EBITDA near ~1.8–2.0x) and is expected to be accretive only later (FY‑2027), creating near‑term earnings pressure and valuation concerns. Rich Multiple And Weak Results Put Donaldson In The Penalty Box
• Negative Sentiment: Short interest rose meaningfully in February (≈25% increase month‑over‑month), signaling growing bearish positioning that can amplify downside on negative headlines. (Data summary from recent market reports.)

About Donaldson

Donaldson Company, Inc (NYSE: DCI) is a global provider of filtration systems and replacement parts for a wide range of industries. The company develops and manufactures air, liquid and gas filtration solutions for engine and industrial applications, helping customers improve performance, lower emissions and extend equipment life. Donaldson’s product portfolio includes engine air intake filters, fuel filters, hydraulic filters, compressor filters, dust collection systems and gas turbine air intake systems.

Serving markets such as agriculture, construction, mining, power generation, aerospace and original equipment manufacturing, Donaldson operates through two primary business segments: Engine Products and Industrial Products.